North Arrow Closes Diamond Royalty Sale at LDG Project, NWT

20 February 2024

(February 20, 2024) North Arrow Minerals Inc. (TSXV-NAR) (“North Arrow”) has closed its previously announced agreement granting Springbok Holdings Inc. (“Springbok”) a 2% diamond royalty on North Arrow’s 100% owned LDG Project in the Northwest Territories. In exchange, Springbok has waived its right to receive a future $1 million share payment from North Arrow, which could have been triggered as early as this year if exploration proceeds as planned at newly discovered spodumene pegmatites on the property. The royalty will apply only to future diamond production and will not apply to other commodities, including lithium. North Arrow may purchase 1% of the royalty (reducing the royalty from 2% to 1%) by making a single payment of $2 million at any time up to 24 months after the date on which the first royalty payment is due. Dr. Chris Jennings, a director of North Arrow, is a principal of Springbok. Further details related to the agreement can be found in North Arrow news release dated February 5, 2024.

Any transaction with an insider constitutes a "related party transaction", as defined under Multilateral Instrument 61-101 ("MI 61-101"). The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as the fair market value of the royalty is less than 25% of North Arrow’s market capitalization.